I got the update installed I just updated the hacked firmware 1.001 and installed should I be worryed.
Probably fine. So you installed the ShortFuse hack (which installs as 1.003 if I recall correctly)?
I had a theory that it is possible to go directly to 3.0 (CNSD-210FM) from there, but I couldnt test it because I already had 2.001 installed (Z120). If this works you could bypass installing the CNSD-110FM upgrade entirely. Even if this doesn't work, no harm done - the CNSD-210FM just won't let you past the password check.
Otherwise you need of go the long route and install both upgrades and both hacks.
UPDATE: I reread your post. It wasn't clear to me if you already did the CNSD-210FM upgrade. In which case you would of already validiated my short-route idea.